A Study Of Questions On The Imposition Of Illegal Income

We have discussed the issue of illegal income tax collection for ten years in our country. There are many disputes about whether impose a tax on illegal income in practice of our county. The problem appears especially urgent with the development of socialist market economy. The article is target for studying the advanced experience on lawmaking and judiciary of foreign countries, discussing feasibility and urgency for illegal income tax collection in our country, embedding ideal in people's mind which impose a tax on illegal income is not admit whose legitimacy. The emphasis is doing a good job on lawmaking and judiciary for this problem.At present, imposed a tax on illegal income in Japan Germany and USA, however this never implies an illegal income is legal in these countries. The "law of tax general rule of Germany is stipulated: "Behavior satisfying all tax collection key elements or the part tax collection key element, do not because of violate the legally order or forbidden regulation, or the condition violating kindhearted custom to hinder tax to those behavior". Just say, it is depend on Principle of material Imposition to impose. It ought to pay as long as satisfying impose condition, disregarding it is legal or not. Most western countries all abide by a very important principle which principle of material imposition. For certain circumstances whether impose not only by the appearance and determine, however according to reality. We ought to pay attention to the essence of economy purpose and the economic life, judging that whether according with impose key element, to impose on fair square and effective which also called principle of material imposition.On January 12th , 2006, our country's Ministry of Finance and State Administration of Taxation unity send out "the Ministry of Finance , State Administration of Taxation collects managing notice " finance and tax about reinforcing the business tax educating labour service income stipulating that "school receive support fee , the fee choosing school collecting etc exceeds a prescribed limit's with various name, do not belong to exemption from conscription equally the business tax education labour service income, is going to pay taxes according to regulation without exception". After the notice there are many disputes arousing society immediately, most of experts and scholars support this regulation and think that is the best example of the imposition of illegal income which discussing in the law of tax educational circles.On the base of the regarding theory and current lawmaking abroad, and the regulation of our country' law of tax, we ought to know, it is a problem to change concept and an inevitable course of history to imposition of illegal income. This article discussed the concept of defining and the beginning rose from the issues imposition of illegal income, after theoretical analysis of imposition of illegal income, and then makes instruction of the experience of lawmaking and judiciary abroad. On the base of the actually of our country, we realize that there are some problem in practical application, finally make Suggestion to the construction of the system of impose to illegal income.This article includes five parts. The first part is raising and the definition of the concept of imposition of illegal income. This section including the following three aspects, firstly, introduce the background and perspective of imposition of illegal income in China, and describe the concept classification and form of illegal income, the last tell us the great significance of imposition of illegal income in China, including increase fiscal revenue, narrow the gap between rich and poor, increasing the cost of illegal income and reduce the workload tax of authorities.The second part is about the theoretical analysis of the imposition of illegal income. This part introduce the basic meaning of the standard of the rights and obligations, the theory of civilizing of tax law, the principle of fair tax, principle of efficient tax, principle of efficiency tax and principles of material imposition, discuss the theoretical support for imposition of illegal income. Imposition of illegal income is the inevitable result of the trend which right standard and civilizing of tax law, and more in line with the principle of fair tax and efficiency tax. Imposition of illegal income follow the modern spirit of the law which no prohibit of privacy right is permission. When the nature of illegal income have not identify by the public power, the nature of income should be assumed to be legitimate. People have the same ability to pay should bear the same tax, so people got illegal income should be tax payments as other. It can avoid loss of revenue and increase workload which identifying whether or not legality of income.The third part is about the practice of abroad imposition of illegal income and experience reference . The first part discusses current situation of lawmaking and judiciary by USA, Germany, Japan and Italy. And focus on the relevant experience of the United States. It is not too long to impose for illegal income in USA. Three typical cases set up determination that imposition of illegal income. At the same time the judiciary system provide guarantee for imposition of illegal income.The fourth part is about current situation of imposition of illegal income tax and the existing problems in China. First to introduce the current situation of legislative in China, There were no direct stipulation about imposition of illegal income in Chinese tax laws, but did not fully adhere to the absolute legitimacy of taxable income. Secondly, introduce the difficulties which Chinese traditional concept hinder the performed of imposition of illegal income and the illegal income taxpayers get themselves lack the initiative and the concern of tax information leaked.The fifth part makes concrete suggestionsillegal about the system of imposition of illegal income. On the base of analysis the theory illegal income, the current situation of imposition of illegal income in China and draw on advanced foreign experience, here made the following recommendations. First of all, change the traditional concepts which imposition of illegal income. Secondly, perfect our law about imposition of illegal income. Thirdly, improved the real name deposit and the single independent system, confidential tax information system and tax evasion penalty system. The last to balance the imposition and the administration of justice issues of illegal income, to avoid the expanse the economic pressure of who got illegal income.